China's CSR Corp. May Bid For U.S. Rail Projects
CSR Corp., China's largest train maker, may bid to build high-speed train lines in Florida and California as part of a joint venture with General Electric Co (GE).
The companies may also place bids for east coast rail projects, CSR Chairman Zhao Xiaogang said today, according to Bloomberg News.
"Overseas contracts are lucrative and we want to expand such sales," Zhao said. "We're actively seeking sales in the U.S., where there are seven or eight contracts in the pipeline."
The two companies will make the decision about bids over the next three years, he said.
The U.S. federal government is promoting high-speed rail as a means to reduce pollution and traffic congestion. The California-high-speed line is expected to cost at least $40 billion.
"Bidding for such projects can help give CSR an international profile and boost its image as a global company," Stanley Yan, an analyst at Masterlink Securities Corp, told Bloomberg News. "The company is seeking new markets."